Russia to produce VW engines for European market (VIDEO)

In the time of sanctions, and when foreign car sales are struggling in Russia, Volkswagen is boosting investment. The German car maker is opening an engine plant near Moscow which will produce motors for VW's Russian and European markets.

The factory will produce up to 150,000 1.6 liter petrol engines a year; according to Volkswagen Group Rus. Cylinder blocks with cylinder heads will be made using Russian aluminum.